Non-payment of gratuity and arrears by HEC

Non-payment of gratuity and arrears by HEC

Department of Heavy Industry has been receiving complaints of non-payment of gratuity and pay revision arrears by the Heavy Engineering Corporation (HEC), Ranchi to its retired employees. These complaints are forwarded to the Company for appropriate action and redressal of grievances.

As reported by HEC, twenty such complaints have been received by them through the Department during the last two years.

HEC has informed that the payment of gratuity to employees separated upto 31st March, 2014 has already been done except in a few deficient cases, due to specific technical reasons. Outstanding liabilities on account of gratuity payable to retired employees are Rs.50.28 crore. The same hasn’t been paid due to acute financial crisis faced by the Company. However, in case of daughter’s marriage, medical treatment of self and spouse, children’s higher education and remittance of bank’s outstanding loans, part payment of gratuity to ex-employees is being done, as per availability of funds.  Regarding the payment of arrears on account of wage revision 1992 & 2007, a total of Rs.3.71 crore and Rs.24.70 crore (Approx.) respectively are outstanding.

HEC is a company registered under the Companies Act, with a separate legal identity under the Law. The Company is primarily responsible for managing all its affairs independently including meeting expenses related to its employees. Government of India being promoter of the company, has provided financial assistance to the Company in past from time to time in the form of loan, with a view to mitigate the hardship faced by their retired employees due to non-payment of gratuity timely. In the year 2014-15, a loan of Rs.47.89 crore was provided to the company for settlement of outstanding statutory dues (like gratuity etc.) of its employees.

This information was given by Minister of State in the Ministry of Heavy Industries and Public Enterprises Shri Babul Supriyo in reply to a written question in the Lok Sabha today.

Source: PIB

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Government constitutes 3rd pay Revision Committee for the executive of CPSUs

Government constitutes 3rd pay Revision Committee for the executive of CPSUs

The Ministry of Heavy Industry & Public Enterprises has constituted the 3rd Pay Revision Committee for the executives of the Central Public Sector Undertakings under the chairmanship of Justice Satish Chandra (Retd.). The other members of the committee will be Shri Jugal Mohapatra, Ex-IAS Officer, Prof. Manoj Panda, Director, Institute for Economic Growth Delhi and Shri Shailendra Pal Singh, Executive Director (HR), NTPC Ltd. The Secretary Department of Public Enterprises will be the Ex-Officio Member while the Joint Secretary/Additional Secretary, DPE will be the member secretary for the committee.

The last pay revision for the executives of Central Public Sector Undertakings came into effect from 1.1.2007.

The Committee will provide its recommendations on the matter to the government, covering Board level functionaries, below–Board level executives and non-unionized supervisory staff of CPSEs. While submitting the final recommendations to the government, the Committee shall also take into account the Report of the 7th Central Pay Commission. The Pay Revision Committee will make its recommendations within 6 months from the date of its constitution. The decision of the Government on the recommendations of the Committee will take effect from 1.1.2017.

PIB

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Department of Heavy Industry to fund Projects Worth Rs. 1000 Crores Under the Capital Goods Scheme

Department of Heavy Industry to fund Projects Worth Rs. 1000 Crores Under the Capital Goods Scheme

The Centre has asked the industry to avail of the benefits of the recently launched Capital Goods Scheme which would help in acquiring or developing new technology. Speaking at the inauguration of a workshop in Mumbai today, Union Minister for Heavy Industries and Public Enterprises, Shri Anant Geete expressed concern over increasing imports of Capital Goods. He said the technology gap between the developed countries and developing countries is widening in the Capital Goods Sector. The workshop on “Technology Development for Capital Goods: Constraints and the Way Forward,” was jointly organized by the Department of Heavy Industries and FICCI.

The Minister said “the technological capabilities of large number of players, especially in the SME sector, are limited in India and as a result India has become one of the largest importers of capital goods in the world. This has adversely affected the indigenous capital goods industry and we want to change this now” he added.

Shri Geete informed that his Ministry is committed to bring ‘Achche Din’ for the Capital Goods Sector and informed that his Department would set up Technology Adoption Fund to promote Research and Development in the industrial sector.

The Capital Goods Scheme launched under the Make in India initiative of Government of India provides support to the industry to acquire technology, set-up technology development centres in collaboration with Institutes, and create common infrastructure for the capital goods industry. A unique component of the scheme is technology acquisition fund where government is giving support upto 25 per cent of the cost of technology subject to the limit of Rs. 10 crore.

The Capital Goods Scheme is expected to be particularly helpful for the industry in Maharashtra as a large number engineering and capital goods clusters covering textiles machinery, machine tools, plastic machinery and engineering products are located in the state.

Shri Divakar Raote, Maharashtra Minister for Transport, Dr. Rajan S. Katoch, Secretary, Department of Heavy Industries, were also present on the occasion.

PIB

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